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CHAS. C. HALL-W. J. EVANS, Assistant Federal Reserve Alrenta (Compiled October 15, 1929) Volume 14, No.9 Dallas, Texas, November 1, 1929 October 29 This copy is r eleased f or publica tion in afternoon p apers - DISTRICT SUMMARY (!J1.111111111 •••• II.,II •• ,I .............. ,I •••• IIIII •••• 1111111111' •• '11'.,11"'1111111.111.,.111"'111,.1'111111111111111111.11111111111,.111111111111,1".1, ••• 11111111".1 ••• 1 •••• 1.1.111111, •••• 1.11111111111111111111 IIIIII"II""IIIIIII"IIIIIIII'I~ § § ~ THE SITUATION AT A GLANCE Eleventh Foderal Reserve Distriot § September Bank debits to Individual accounts (ot 17 oitios) . ... .. ..... .. . . .. .. .... . ... .. . . ..... ... ....•...... •. .. . . . ... Deportment store solos .. ........... . ..... . ....... ... . '" . . .. ... .... .. , .... .... .... .. .. , .. . . . ......... .. . Reserve bonk loans to member bonks at end of month ... . ... .. .. ....................... ..... ... ... .. .. ... . . Roserve bonk ratio at end of month ......... . ................ ...... . . . .. ... . . . ......... ... ... .. .. .. .. .... . Building l"'rmit valuation at lorger oentors . .... . .. ..... . ... . . ... .. .......... .. . . ...... . ....... .. ... .... .. . CommerOiol failuros (number) ... . ...... . .... . ...... . . .. . . ......... . ........ .. .... .. .. . . .. . . . . .. .. . . . .... . Commereial failures (liobilitIOB) ....... . ..... ... ........... .. ................ . ... .......... ........ .. .... . Oil produotion (barrels) . .. .. . . . . . . . .. . ..... . ..... . .... . . . . . . . . . . . . . . . . .. ....... . . . .. . . .... .. . ...•• ... . .. Lumber orders ot pioe mills (per oent of normol produotion) .. . ......... ... . . . ...... .... ... . . ..... ... . ..... . . A sharp decline in the business mortality rate in the Eleventh District and a rapid liquidation of indebtedness at the Federal Reserve Bank were important developments in this district during the past month. As compared to the previous month there was a reduction of 24 per cent in the number of failures and a decline of 61 per cent in the amount of indebtedness involved. The number of defaults with one exception was fewer than ill any month of the current year and the liabilities of insolvent firms were smaller than in any month in more than two years. Federal Reserve Bank loans to member banks rose to a seasonal peak of $4.8,761,167 on September 7, but the subsequent rapid liquidation carried these loans down to $29,959,355 on October 15, and on the latter date they were only $1,032,94,0 larger than a year ago. While the decline in loans was seasonal in character, it was in marked contrast to developments last fall when loans remained at a high level until the latter part of the year. The daily average of combined net demand and time deposits of member banks rose from $860,552,000 in August to $892,636,000 in September. Coincident with the liquidation df loans and the rise in deposits, there has been a heavy demand for bankers' acceptances and commercial paper. Debits to individual accounts at banks in larger centers reflected a gain of 8 per cent as compared to the previous month and were 5 per cent greater than a year ago. The distribution of merchandise in both wholesale and retail channels during September reflected a slowing down as compared to the strong demand evident during the two preceding months. While department store sales showed a seasonal increase of 31 per cent as compared to the previous month, they were 3 per cent smaller than in Septemb.er, 1928. Wholesale distribution reflected a noticeable dechne as compared to August, but in a majority of reporting lines, August $981,231,000 $911,879,000 $ 34,112,983 60 .7% $ 6,465,678 88 $ 315,886 27,200,260 79% $ 47,600.240 54.2% $ 8,384,960 60 $ 817,820 28,600,100 01 % InerellBe or Deoreose Ino. Ino. Deo. Deo. Dee. Deo. Dec. Dee. Dee. 7 . 6~ 30.7 28 .3 0 6.5 points 22. 0% 24.0% 61.4% 4.2% 12 points sales were larger than a year ago. This let-up in trade was occasioned in part by the unseasonable temperatures prevailing throughout the month and the unsatisfactory returns from crops in some areas. The agricultural situation showed no marked change from a month ago. The September rains were very beneficial to some crops which showed a material improvement, but other crops continued to decline as they were too far advanced to be benefited by the rains or conditions remained unfavorable for propel' maturity. The crops most adversely affected were cotton and grain sorghums. On the basis of the October 1 estimates of the Department of Agriculture, the production of cotton in the Eleventh District this year will be smaller than in any year since 1923 and the prospective production of grain sorghums is the lowest since 1925. Farmers have made good progress with the harvesting of crops due to the long period of open weather. A heavy general rain is needed throughout the district to enable farmers to proceed with the seeding of small grains and with fall plowing. The physical condition of ranges and livestock showed some improvement during September, but the October 1 condition was considerably below that of a year ago. Livestock prices have evidenced a further recession. The valuation of building permits issued at principal centers reflected a decline of 23 per cent as compared to the previous month, but was 2 per cent larger than a year ago. The operation of pine mills in this district showed a substantial recession from both the previous month and the same month last year. The production and shipments of cement remained near the high level of August and reflected a large gain over a year ago. This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org) 2 MONTHL Y BUSINESS REVIEW CROP CONDITIONS The rains over a considerable portion of the Eleventh District during September afforded some relief from drouthy conditions and were beneficial to some growing crops. In other instances, however, crops showed a further deterioration due to the lack of moisture or to the fact that the rains came too late to offset the bad effects of thf drouth. In some portions of West and Northwest Texas, where sufficient rain has fallen, farmers have made good progress in the seeding of small grains and reports indicate that wheat and oats are coming up to a good stand. In other portions, numerous complaints are to the effect that the ground is too dry for seeding operations. In practically all sections of the district a heavy general rain is needed to enable the farmers to proceed with fall plowing and the seeding of wheat, oats, barley, and rye. According to the figures derived from the October 1 estimates of the Department of Agriculture, the production of corn in the Eleventh District will total 100,956,000 bushels as against a prospective yield of 95,627,000 bushels on September 1 and an actual yield of 114~ 74,2,000 bushels in 1928. The higher total, as compared to September 1, was due largely to the improved prospects for the state of Texas, where the indications now point toward an average yield of 18.2 bushels, or a total production for the state of 86,796,000 bushels. The crop in much of South Texas and in scattered localities elsewhere was very good, but in other portions of the state the crop ranges from poor to fair. The grain sorghums in New Mexico and Oklahoma showed an improvement during September, but the condition of the Texas crop continued to deteriorate. The decline in Texas was due to the fact that the September rains were not general in the heavy producing sections of the state. Average per-acre yield in the state will be reduced about 45 per cent as compared with the 1928 yields. There is a decided shortage in the United States production of grain sorghums this year as the output in practically every producing state is smaller than a year ago. The total production for the country is estimated as equivalent to 93,074,000 bushels as compared with 14,2,533,000 bushels last year and an average of nearly 123,000,000 bushels during the previous five years. The indicated production for tame hay on October 1 was greater than a month earlier and substantially larger than the actual production in 1928. There was a further decline in the indicated yield of cot-;, ton for this district. Figures derived from the October estimates of the Deparlment of Agriculture indicate a yield of 4,889,000 bales as against a forecast of 5,034,000 bales on September 1, and an actual production of 5,946,000 bales in 1928. The indicated production for Texas was reduced 157,000 bales during September and is 1,156,000 bales below the actual production for 1928. The per·acre yield for the state is estimated by the Department of Agriculture as 108 pounds as against a per-acre yield of 138 pounds in 1928. The Bureau of Census reported that ginnings prior to October 1 were 2,130,000 bales, or 55 per cent of the estimated production_ The Department of Agriculture reported that the development of the crop in Texas and Oklahoma has brought to light the small size of the open bolls and also the small number of bolls on the plants which could benefit from rains that occurred early in September. About three-fourths of the crop in the Southern half of Texas has been picked and one-third of that in the Northern portion. Very little top crop is expected and many farmers are plowing under the stalks to stop the increase of insects. Yields this year have been very irregular as the season was one of excessive rains followed by drought and extreme insect activity. The department reported that only 4,0 out of 219 cotton growing counties in Texas are exceeding last year's production. Weather conditions for the harvesting of the Texas rice crop were very favorable and the yield is turning out better than was expected. Practically all of the early varieties have been threshed, the yield being generally satisfactory and the quality of the grain good. The October 1 condition, as reported by the Department of Agriculture, was 90 per cent of normal, which indicates a production of 6,707,000 bushels as compared to prospects for 6,486,000 bushels on September 1. While the sweet potato crop showed a decided improvement in some areas of Texas following the September rains, the crop as a whole deteriorated and the indicated yield on October 1 was 6,136,000 bushels as compared to a forecast of 7,24.5,000 bushels a month earlier. The crop in Oklahoma and Louisiana, likewise, deteriorated during September, but the October 1 estimate for the latter state was larger than the production in 1928. The prospective yield of white potatoes on October 1 was greater than a month earlier in every state attached to this distl1ict, but the yield in Texas, Oklahoma, and Louisiana was smaller than a year ago. The condition of peanuts in Texas reflected a noticeable improvement, the indicated yield on October 1 being 85, 74,7,000 pounds as compared to an estimated yield of 77,708,000 pounds on September 1. This crop did well despite the long duration of the drought and fair yields are expected in that portion of the crop not yet matured. Harvesting is well advanced in the South and is now under way in other sections. The Department of Agriculture reported that the nuts are of good quality. The September rains were very beneficial to the citrus fruits in the Rio Grande Valley. The crop is practically mature and the fruit of excellent quality. The fruit will soon begin to move in quantity. LIVESTOCK Following the beneficial rains during September, range and livestock conditions in the Eleventh Federal Reserve District showed some improvement. Nevertheless, conditions are somewhat spotty as there are localities in practically every section of the district where rainfall has been insufficient to revive the ranges, and conditions in those localities are poor to only fair. In the major portion of the district moisture conditions are adequate for present needs and l1anges are fair to excellent. Heavy general rains are needed to insure ample winter pasturage and to replenish the supply of stock water. In those areas where ranges have been good, many cattle are fat and the movement to market is becoming brisk, but there is a tendency to hold young stock and desirable breeding stock. There is no general tendency, however, to restock the ranges. In those localities where range grass is short and the feed supply inadequate, cattlemen are culling herds closely in order to avoid buying feed to carry cattle during the winter in the face of uncertainties as to the future trend of prices. Trading on the ranges is unusually dull for this season of the year. MONTHL Y BUSINESS REVIEW 3 The Department of Agriculture reported that the condi· than for the corresponding month last year. The September tion of cattle ranges in Texas on October 1 was 81 per cent exports from all United States ports totaled 725,876 bales of normal as compared to 76 per cent a month earlier and as compared to 226,018 bales in August and 809,953 bales 89 per cent on the corresponding date in 1928. While sheep in September, 1928. The domestic consumption of cotton, and goat ranges showed an improvement of 4 points during while slightly smaller than in the previous month, showed a September, the October 1 condition of 79 per cent was much substantial gain over September last year. The consumption below the excellent condition of a year ago when it was of cotton during the first two months of the current season reported at 98 per cent. The condition of Texas cattle on was 8.4 per cent greater than during the same period of the October 1 was reported at 83 per cent of nomal, which was previous season. the same as a month earlier and compares with 89 per cent. on October 1, 1928. The condition of sheep and goats was 8 ..... 84 and 87 per cent, respectively, which represents a gain of 2 points during the month in each instance. On October 1, 1928, the condition of sheep was reported as 95 per cent of normal and that of goats as 94 per cent. Movements Receipts of cattle at the Fort Worth mar· ".,"11"111'1"1' IIIIIII'II~ and Prices ket during September, while greater than for the previous month, were considerably smaller than for the same month of 1928. The arrivals of calves and sheep, however, showed a good gain over both months. The receipts of hogs for the month were Ii.:. slightly smaller than for either the previous month or Sep· For otberforeign ports ... .. . .. . .... . . . ..... . ... . tember, 1928. For cOllStwise ports . . .. .......... . ........... . Jn eomprcsscs nnd depots. . . . . . . . . . . . . . . . . . . . .. 158,719 284,856 Following the rains early in September, the receipts of § Total. .. . . .. .. , . . . . . . .. . . . . . . . . . . . 224,719 301,255 § cattle declined somewhat and the demand showed some im· dJ"llfllllllllllllllllllllllllllllllllllllllltlllllllllllllllllllll11I111I1'111'1'111111t11l'llItllllllllllllllltltlllll~ provement with the result that cattle prices were a little firmer. Subsequently, however, prices on all classes of ~1"'IIIUflIlIIlIlIlIUIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII"IIIII"1I1I1I1I11II'IIII'IIIIIIIIII'''''II'I'III'III~ cattle evidenced a downward trend until the second week of § COTTON MOVEMENTS THROUGH THE PORT OF HOUSTON § October, when the market on most classes reflected a slight ~ ~ September Septombor August 1 to September 30 : stiffening. The hog market reflected a downward trend :'.§ 1020 1028 This Season LllSt Season .§ Receipts.. .. . ................ 447,380 460,016 538,870 578,017 throughout the six-week period. Prices for sheep and : Exports ..... . . . . . .... .... 205,520 220,014 256,704 206,831 : lambs followed an uneven course, but were slightly higher § Stocks, September 30 .. . . . . . 393,000 a93,435 § in the middle of October than six weeks earlier. I~;:~:;VEM:1i;"~i;R~;(~fV~i' ! ,1 ••• 1., ••••••• ,111 •• ,1111,.111 ....... ,11111,.,1111.,1, ••• ,11" •••••••••• " •• 111111,.,11111111111, •• 1,.II.,IIIIII'@ [!JIII •• ,I.IIIII' ....................... , •• ",., •• ,.,., ••• 111'1'11111""'1111111"'111'1., •• [!J.IIII.,II •• IIIIIIII.IIIIIIIII.IIIII ••• ,IIIIIIIIII •• ,.,1, ••• ".,1111111, •••• ,11""'.1"'111,.1111111'1111111.IIIII'lt.11!] I,:.. I~~~ri~.;~ ~~V~N s~~ ~':;4~:~;,:~0r30' sePtT79~ ib:~ r~ ~' I!J"IIIIIIIIIIIIIIIIIIIII IIUIIIIIII 11111111 111111 11111111111 IIIUIIIIIIIIIIIIIIIIIIIII 1111111111 IIIIIIIIIIIIIIIIIIIIIIII@ ~1111111111"I'I'lllltll"'IIIIIII'IIIIIIIII'I'III"11 IlllI".'I,IIIIIIII •• IIIIIIIIIIII"III,IIIIIIII.,.I,11111111111 •• 't:,J :.1 : ~: :FOR~W1i"iK ~rlm ~iill ~!. :hoe~p: :: : : : : : : : : : : : : : :: :: 45,675 32,028 G 13,647 35,409 G 10,266 SEASON'S RECEIPTi3J EXPORTS, AND STOCKS OF COTTON AT ALL UNITED STATES PORTS August 1 to September 30 This SellSon LllS t Senson Receipts ....... . . .. . . .. . .....•. . . .. .. . . . . .. .... . . . ... 1,820,376 1,609,431 Exports: Great Britain ... . ... ... .. ... . .. . • . . ....•.. . . 136,596 104, 241 France . . . .. ........ . ..... . . . ..... . .. . . .. . . . 102,3 18 87,051 Continent .... . ... . . . ... . ........ ..... .. .. . . 525,247 510,092 Japan- China ..... . .... . . . .. . .... . ... . .. . . . . 122,204 166,005 Medea ........ . .... . .. . ... .. .. . .......... . . 1,332 230 Totaiforeign ports ........ . ....... . .. . . . . . .. . 885,607 878,500 Stooks at all United Statcs ports, September 30 ......... . 1,214,205 1,065,734 : ~IIIIIII'III'IIIIIII'I'IIIIIII"IIII'IIII'II'lflll'lll ',II'I.I.,I,.IIIIII,r.I,IIIIII,,,.,llllr.11111111111111111.III.tllG] mUIIIIIIIIIIIIUIIUIIIIIIIIIUIUIlIlIlItIIlIIlIl.UIUIIIIIIIIIIIIIIIIIIIIIUltUIIIIIIII1111111I11111111I111Iltlllll[:J § § COMPARATIVE 'FOP LIVESTOCK PRICES September 1029 Beefstecrs.... .... ... ... .. .... ... ... . ... . 13 .00 Stockersteora . . .. . .... ........ . ...... . .. . 11.50 ~t~~~c~oC:=:.·.: : :: ::: :: : :: : :: : : : : ::: : : : : ~:~ September 1028 13 .50 13 .25 ~: ~~ August 1020 1S .75 12 .50 r!l11I111I111I1I1.IIIIIIIIIIIINlllIlllllllllIllIlltllIlIl.,IIIIIIII'111111I1I1.,IIIIIIIIIII.IIIIIIIIIIIIII.lIlIllIlIlIlIlm ~ : ~g ~1II111111111111"1I1II1I1I1I1I1I1I1I1I""'IUItIIIIIIIII"'IIIIIIIIIIII""'"IIIIIIIIIIIIIIIIIUI"IIIIII'"1111111111;1 ~~~~:s· · · · · ··;~oie~~~':~~~t,~l;t:;';.:l ~.:! ~~=.. .;e;ON:mC'~i:i~ ~lL~" Galveston reflected a large seasonal increase as compared to the previous month, but were smaller Galveston.. .. .... ..... . .. . ...... .. . . ... . ....... 10 .25 18 .45 !:.: 18 .25 III1IIIIIII ........ IIIIIIIIIIIIIIIIIIII .. IIIIIIIUHUlIlIlIlIllIUIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII ... 1I1II1I1I1!) [!)II .. III .. IIIIIUII .... IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII.IIIIIIII .. IIIIIIIIIIIIII.UI .. IIIIU ............................. 111111 ........ 11111 ... 1111 .... 111111 ............. 11 .. 111111111111 .. 111 .. 1.... III .. I ... I .. IIIIIIIII ... IIII.IIIIIIII.II.,I1 .... ~ COTTON CONSUMED AND ON HAND COTTON GROWING STATES Sept., 1929 Cotton Consumed. . . .. .. . ...... . . ... .. . . . •. ... . .. ... . .. ..... ...... .. 423,058 Cotton on hand September 30: (a) In oonsumlng establisbment.e .. .. . .... .... .. .. . • . . . .. •.. .. .... (b) In puhlle storage and oompresscs . . . ... . . ... . . . . .. . ... ... . ... . . August 1 to September 30 Sept., 1028 This Season LllSt SellSon ' Sept., 1029 381,012 851,440 784,443 545,649 522,501 3,050,608 400,243 2,549,467 UNITED STATES August 1 to September 30 Sept., 1028 This Season Last SellSon 492,307 1,103,762 1,018,647 702,028 3,224,850 720,108 2,037,683 m ....... II.IIIIIIIIIII.,IIII.II .. IIIIIII.II.IIII .. 11111111111I1 11I 1I1I1 , ... 111 .. 1111111111,111 ...... 11111.111111111.111111111111111111 .. "111,11 .. 11111,"11111111111,1111"1 .. 1111111111 ... 1111111111111111.1111111111111111111111111"1111111111111111111 (!] MONTHL Y BUSINESS REVIEW 4 COTTONSEED PRODUCTS The receipts of cottonseed at Texas mills reflected a large seasonal increase as compared to the previous month, but were smaller than in September last year. The production of cottonseed products at Texas mills during the first two months of the current season reflected a decline as compared to the same period a year ago, but the production at all United States mills was larger. The decline from a year ago at Texas mills is largely accounted for by the smaller ginnings of cotton in this state. Stocks of cottonseed products on hand at both Texas mills and all United States mills were larger at the close of September than on that date a year ago. STATISTICS ON COTTONSEED AND COTTONSEED PRODUCTS Texas United States August 1 to September 30 August 1 to September 30 This Season LaBt Season This Season Last Season Cottonseea receIved at mills 555,584 (tons) ... ... . ...... ... . .. . . 425,514 1,159,850 1.041,334 Cottonseed orushed (tons) .... . 235,420 251,590 610,714 495,478 Cottonseed on hand (tons) . . .. . 210,209 317,188 590,747 567,828 Crude oil produoed (pounds) .. . 60,950,203 72,943,886 184,841,001 147,701,004 Cake and meal produced (tons) 111,873 118,369 271,974 220,829 Hulla produced (tous) ........ . 62.744 69,265 166424 138,146 Linters produced (running bales) .. .. ................ . 49,733 49,502 125,093 98,588 Stocks on hand September 30: Crudo oil (poundsl. . . . . . . . . . .. 19,708,820 14,202,041 47,305,339 42,249,720 24,337 20,730 83,778 61,411 Cakeanrl meal (tona).......... Hulls (tons).. .. .. .. .. .. .. .. .. 41,414 38,009 89,245 72,882 Linters (running balee) . . . . . . . . 39,250 33,709 101,583 86,589 ~11"lllllllltllllllllllllllllllltlllllllll'llllllllll ••••••• 1111111 ••••• 111111111.111111111111111.1111 ••• ,11IIIIIIIIIIIm TEXTILE MILLING Activities at Textile mills in the Eleventh District declined in September as compared to August but were on a larger scale than in the corresponding month last year. There were 2,959 bales of raw cotton consumed as compared to 3,4.94. bales in August and 2,497 bales in September, 1928. Production of cloth was 15.6 per cent less than in the previous month but 25.8 per cent above that in the same period of the previous year. Orders on hand September 30 were slightly larger than a month earlier and a year ago while stocks were smaller than at both previous periods. ~tl'IIIIIII""llltl"I'II'I""'IIIIIII'II'I'I"'I'" 111 ••• 1.111"1111111111111111.1.1111'1111'1'1111111111 IIII'IIIIIII~ § TEXTILE MILLING STATISTICS ~fiomber ~fi8mber 1~~rt ::::_§ • - Number bales consumed ... . .. .... . . . . . . .. . Number spindles active . . . . § Number of pounds of oloth produc~d .. . ... . 2,959 96,516 1,255,675 2,497 90,516 098.451 § : : _' 3.494. 90,516 1,488,290 § tions was reduced by reason of the small returns from crops. Reports indicate that retailers are adhering closely to the policy of limiting purchases to well defined needs. Some dealers report that business during the first half of October was generally satisfactory. Collections in most lines reflected a substantial increase over the previous month. The sales of wholesale dry goods firms during September reflected a decline of 9.5 per cent as compared to the previous month and were 5.0 per cent less than in the corresponding month last year. The unseasonable temperatures prevailing during the month retarded the buying of fall merchandise and the uncertainty regarding the course of the raw cotton market caused some hesitation on the part of retailers in the buying of cotton goods. Collections showed a substantial increase over the preceding month. The distribution of farm implements at wholesale, while 6.2 per cent less than in the previous month, showed a gain of 32.1 per cent as compared to September, 1928. Sales during the third quarter averaged 25.3 per cent greater than for the same period a year ago. Reports indicate that buying of some types of implements is very good, but the demand for others is poor. Collections showed a large seasonal increase. Prices remained generally firm. The sales of reporting wholesale hardware firms were 2.8 per cent less than in the previous month but showed a slight increase of 0.8 per cent as compared to the corresponding month last year. Sales during the past three months have averaged 8.0 per cent greater than in the same period last year. Collections showed a substantial gain during the month. While the sales of reporting wholesale grocery firms showed an increase of 1.2 per cent over the previous month, they were 5.1 per cent less than in September of last year. While buying is reported to be somewhat spotty, dealers report that trade generally is fairly satisfactory. Prices remained generally firm. The demand for drugs at wholesale showed a decline of SOd h . I b • per cent as compare to t e prevIOus mont 1, ut was 1.9 per cent greater than a year ago. Sales during the third quarter averaged 5.2 per cent greater than for the corresponding period last year. Collections showed no material h h change from t e previous mont . ~;nIlIIlIIlIlIlIIlIlIlIlIlIlIlIlIlIlIlIl"llIlItllIlIlIIllIlIlIlIlIlIlIlIllIlIlIllIlIlIllIlIlIlIlIlI1111111111111111111.1;] [!JIIIIIIIIIIIIIIIUIIIIIIIIIIIIIIIIIIIIHIl 1IIIIIIIIIIlfllllllllllltlllllllil 11111111111 111111111 11111111111 111111 1IIIIIIm - WHOLESALE TRADE CONDITION OF ~~~n~:g~A~Ein~:~~r~~:!:~ i~~PTEMBER, 1929 _:1 The distribution of merchandise at wholesale, after showNet Shies Net Sales Stocks Ratio of collec- : . . . mg consl d era bl e expansIOn d ' urmg tl1e t wo preced · : mg • September, 1920 July 1 to date Sept., 1929 tions during Sept. • months, reflected a decline in September. Groceries was the _§ :__ compared with compared with compared with to accounta nnd Sept. Aug. Same period Sept. Aug. notes outstanding only line in which sales were greater than in the previous 1928 1029 Inst year 1928 1929 August 31. month, but the sales of drugs, hardware, and farm imp le• Grocories .... .. .. - 5 . 1 + 1.2 +.5 - 1.6 + 4.6 71 .0 :: E Dry Goods .. .... - 5.0 - 9 .5 - 5.0 -11 .0 - 9.7 27 .1 E ments were Iarger t han in Septem ber, 1928. Consumer de: Farm Implements +32 . 1 - 6.2 +25 .3 +33 .0 + 18 .6 16.6 : 1 past month was re tar ded to some extent : Hardware .... .. . + 1.9 - 5.0 + 8 .0 + 8.0 -+.5 • Drugs .. ......... + .8 - 2 .8 + 4.1 41.4 • · man d d unng t Ie 5.2 + 1.3 40 .8 : by the unusually \varm weather, ,,,,hile buying in some sec- ~"IIIII"lIl1l1l11lfllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllltil111111""'''11''& RET AIL TRADE The sales of department stores in larger centers of the Stocks on hand at the close of September showed a seaEleventh District reflected a further seasonal expansion of sonal increase of 10.6 per cent over those a month earlier 30.7 per cent as compared to the previous month, but were and were practically the same as a year ago. The rate of 2.9 per cent less than in the corresponding month last year. stock turnover during the first nine months of 1929 was Although the smaller volume of business this year was due 2.18 as against 2.08 during the same period in 1928. in part to the unusually warm weather prevailing during Collections showed some improvement. The ratio of SepSeptember which retarded the movement of fall merchan- tember collections to accounts receivable on September 1 dise, it should be remembered that business was unusually was 33.7 per cent as compared to 32.7 per cent in August active a year ago. and 33.0 per cent in September, 1928. _:1 :E_: MONTHLY BUSINESS REVIEW 5 @ " II ••• ,III.,III •• ,II"IIII •••• ,I.,IIIIIIIIIII.,I.'.,."'1.,."1"1111111111, •• ,, ••• ' ••• ,, •• ,1, • • ,"'1,.,1 •• 1",." •• ,11111"'1 •••••• ,11111111""""'1""'.11111111 •• ,1111111,.,11, •• ".,.,111' •• ,., ., 11111111,.,1,., 11""I""III"IIIIIIIIIIII"III'~ : BUSINESS OF DEPARTMENT STORES Total Sales (Percentage): 8optember. 1929. eomparod with 8optember. 1928... .............. .. ............. 8optember.1929.eomparodwithAugust.1929 ... ........................... . .... January I todatecomparod with BIlme period IllSt year ........................... Crodit Salea (Percentage): 8optember. 1929. comparod with 8optember. 1928 . ............................. . . 8optember. 1929. compared with August 1929 ........ . ... . .................... .. January I to date comparod witb same period IllSt year .... " .. . . ..... . .. .. . . .. .. . Stocks (Percentage): September. 1929. compared with September. 1928 ..... . ...... . ....•.....•........ September. 1929. comparod witb August. 1929 .............. . .. . ...... ......... . . Stock Turnover (Rate): Rate of stock turnover in 8optember. 1928....... . ... . .......... ...... .. ......... Rate of stock turnoverin September. 1929..... .............. . ..... . ............. Rate of stook turnover January 1 to 80ptember 30. 1928. . . . .. . . . . . .. .. . . . . .. . . . .. Rate ofstook tUrlloverJanuary 1 to 80ptember 30. 1929 . . ........................ Ratio of 80ptember collection to accounts receivable outstanding 80ptcmber I. 1920. . . . . . FINANCIAL Debits to individual accounts at banks in larger centers of the Eleventh Federal Reserve District showed a gain of 7.6 per cent in September over August and were 5.3 per cent larger than in the corresponding month last year. The aggregate for the month was $981,231,000 as against $911,· 879,000 in the previous month and $931,756,000 in Septem. bel', 1928. rn .... IIIII .. III .. UI.IIIIIIUUIlIlIlIl .. IIIIIIIIIIIIIIIIII ....... ~ IlIlIlIlIlIlIIlIllIlIlIIlIt.1l1l1tI IIIIIIIIIIIIIIIIIII~ ~ DEBITS TO INDIVIDUAL ACCOUNTS (In thouBIlnds of dollars) : ~ : Abilene . .. . .... . .......... Austill....... .. . .. ... ..... Bcaumont ............ .. · .. Corsicana ..... . ...... . .... DallllS.... .. . ............. ElPllSo.... .. ...... ....... FortWorth ... ........ . .. .. Sept. 8opt. IncrCll80 or August Illcrease or 1929 1928 Decrease 1929 Decrease $ 9.986 $ 10.046 .6 $ 9.312 + 7.2 22.928 28.963 - 4.3 21.266 + 7.8 26.792 24 .362 +10 .0 27.638 - 3. 1 7.640 7.066 + 8.3 6,500 +17.5 267.300 263.239 + 1.6 287.562 +12.6 35.645 33.675 + 6.9 37.961 - 6.1 108.732 107.243 + 1.4 113.478 - 4.2 *~~s~:~~:. ::: : :::::::::::: 2m~~ 2gg:~~~ +t~ Port Arthur ... .. .. . ........ Roswoll. .... . .... ...... .. . San Antonio . ....... . .... .. Shreveport. .. .. . .... . ..... Toxarkana..... ............ Tucson ...... .......... .... Waco. ...... ... .... .. .. . .. WicbitaFalls... ...... . .... : 13.479 4.257 87.391 54.723 16.428 10.400 24.467 26.180 9.349 3.054 81.027 41.100 16.452 8.442 22.682 24.59S ~ : 2~~:~~~ t2~:~ +44.2 + 7.7 + 7.0 +33 .2 -.1 +23.3 + 7.9 + 6.4 12.002 3.855 89.205 43.082 15.222 10.197 18.171 27.326 +12.3 +10 .5 - 2.0 +27.2 + 7.9 + 2.1 +34 .6 - 4 .2 TotaL. .. . .... 981.231 931.756 + 5 .3 011.870 + 7.6 ·Includes the figur08 of two banks in Texarkana. Arkansas. locatod in tbe Eightb E Distriot. : G:!II 1 IIIIUIIIIIIIIIIII II 1111 IIII'UIl UIIII 1111 11111111 11111111 II lI.tI 11111 II II 11111111111 II 1111. III II 1I.IIIIIIIIIIIIU 1rn The volume of acceptances executed by accepting banks in the Eleventh District and outstanding at the close of the month amounted to $6,390,833 on September 30, reflecting a sub- Acceptance Market : DallllS + 8.3 +39 .5 +4.8 Fort Worth - 6.2 +24 .3 -2.4 Houston - 9.0 +28.5 - 1.3 Ban Antonio - 9.1 +33.1 -3.2 Others - 6.8 +23 .3 -.5 Total Distriot - 2.9 +30.7 + .2 +13 .6 +47 .0 + 1.2 +35 .8 + 1.3 - 7.1 +41.4 0 .0 - 2.8 +44.4 .4 - 8. 7 +25 . 2 3.0 - 2.2 0.0 + 2.3 +13.7 .4 +16 .8 - 3.3 +11.4 + 2.4 +39 .8 + 3 .2 + .1 .20 .19 1. 79 1. SO 31. 5 .29 .26 2.24 2.37 35.4 .31 .29 2.43 2.54 37.0 .21 .21 1. 96 1.97 33.1 + 7.3 + 3.4 + 6.8 + .26 .2S 2. 10 2.28 33 .0 + +10.6 .25 .24 2.08 2.18 33 .7 stantial seasonal expansion of $3,121,180 as compared to August 31. Acceptances of these banks executed against import and export transactions rose from $1,441,123 on August 31 to $2,304,440 on September 30 and those based on the domestic shipment and storage of goods increased from $1,828,530 on the former date to $4,086,393 on the latter date. Condition 0/ A rather large increase in loans on securi· Member Banks ties, which brought the total to the high .. in Selected est level since April, and a substantial Cities gain in all other loans (largely commercial) was noted in reports received from banks in principal cities of the Eleventh District in September. I nvestments 0 f these ban ks were sma II er t han f our weeks earlier. Loans on securities increased from $95,207,000 on September 4 to $104,658,000 on October 2, and all other loans (largely commercial) rose from $261,591,000 on the former date to $270,757,000 on the latter date. As compared to October 3 of last year, loans on securities and all other loans were higher by $541,000 and $25,193,000, respectively. Investments in United States securities on October 2, amounting to $76,756,000, which was $2,618,000 below the volume 011 September 4, more than offset a slight gain of $4,10,000 shown in their holdings of other stocks and bonds. Net demand deposits increased $7,655, 000 during t he f our . wee k perio, but time deposits d declined $1,470,000. Reserves of these banks with the Federal Reserve Bank declined $1,675,000 and their bills payable and rediscounts with this bank were reduced $10,456,000. (!] .... IIII'II ...... UI ..... III ..... IIIII .. II.II ... IIIIIII ...... III .. 'IIII .... ".1I1I11.11"11.1".111.1111111111111.11.1111111111" .. 11,".11111111111111.11.111111111"111111 ... ,IIII .... I ... I ..... I., .. IIII .... IIIIIIIIIII.IIIIIIIIIIII •• IIIIII'U ....... ,[!J ~__i-: ![~~~~~"'~;~ • CONDl~ION:STATIS~ M;S~:B:"~: INBE~=: "~I ~ .I:i~ 52I 5~7E:r~ i~9 8op:e~lgI~ :~ i9~841: ·~ i~ 29 O ;~1 4:~I :r~ 1:~:1 : ;~ ~;~8!_-:~ OF: 6. All other loana. ...... .... .... .. . .... .. .... .............. ....... . ............. ... ............ ....... .. 6. Totalloans . . . ... . . ............... ····· · ... ·· · .... · · .... · ·· .. · · .. ·•··· .. · .. ·· .. • .. ·· .... · .. • .. · · .. ··· 7. Notdomanddepoaita..... ...... .. .................. .... ........ .... ... ... ..... . . .............. .... . .. 2S6.800.OO0 279.235.000 304.178.000 E 10. Bills payable and rodiscounts witb Foderal Reserve Bank.. ... .... . . . .. . . .... . . . . . .... . .. . .. . .. .. ... . . .... . . 23.581.000 34.037.000 21.023.000 :: ~: ~eer~~r:';~Fede~i Rooo~~~·Iin~k·.:: ::::: :: :::: ::: ::: :::::: :: :: :: :::: :::: :::: :::: :::::: :::::::: ::: :::: ~11I1 .. 1.1I111.' .. II ••• lIlIlt'ItIlIt ... III ....... IIIII.I ... III .................. ............ v ' 1:l:m:~~~ I:~:m:~~~ • I~~:m:~~:: 11 ............ 111 ........... 11 ................ , ........ 111111 .... 111111111 .... 111111. 1I1I1I .. 11I ......... I1 ....... III .. ,III .... I1 ........ II.III .... ' " .. § IIIIIII~ Gj •• I.' ••• 'I,.,I ••••• ,I.I.I •• ' •• '.""u"""",,""",.,1 ••••• 1•• ,1, •• ' •• 1'.11'.1., •••••••• , •••••••••••••• ,.'.1"1.1 •• 1,.111"'.,1 •••• 11111 ••••• 1•••• ,111 •• 11 •• ,'1,.,.,.1111"1"".1.,.1'1.11",,.1,1.1.1.1., •• ,,'1.1'.11.III'I.lllnll"'.'I.I.I'I.,.II[jj ~ :: OCTOBER DISCOUNT RATES ~ : : E: ~: ~ Prevailing Rates' Dallas Rates cbarged oustomers on primo oommoroial paper such as Is now eligible for rodisoountundertheFoderal Reserve Aot .. ......................... ... ... . .. Rate cbargod on loana to other banks securcd byor other current.... . .... .. ... including on loana secured by prime stock exohange bills receivablo collateral (not .. ... :.. loans plaood In othor markolB througb oorr08pondent banks): ~~ ¥i::'~~:::::: ::::: ::::::: : : ::: ::: ::::: : :: :::: ::::: ::: :::::::::: Rato cbarged on oommodity paper socurod by warohouse receipts. etc.. . . . . . . . . • • . . . . . Rate on cattle loana. ..... .. ................................................... EI Paso Fort Worth Houston San Antonio 6- 7 6-S 6-8 6 5- 6 6 6-8 6-8 6-7 6-7 5-6 6-S 6-8 6-7 6-S 6 6- S 6-S 6-8 7-S 6-7 6-7 6 6-8 6-8 6-8 4-S 5~-6 6~ 7-8 Waco : ~ : 6-8: 6 7-8 7-8 ~: : _ 6~-S 7-S t!JIItIlU .... IIIIII ....... II ........ IIIIIIIIIIIIIIIIIII'"IIIIIIIIIII ... III'III.111,11",1111.111111111 .. " .. 11 .. 11111111,.,1.1.1.111 •• 11111111111111""IItIlIIIl'IIIII'IIIIIII'IIIIIIIIIIII'IIIIIIIIIII'III'II"1IItIIIIIII'II'f'III"'III'I'I'UIIIIIIII I, m MONTHL Y BUSINESS REVIEW 6 Reports from banks in the Eleventh District that operate a savings department show that savings deposits aggregating $152,027,053 on September 30 were 0.8 per cent larger Savings Deposits than on August 31 and 7.7 per cent greater than a year ago. There were 304,942 savings accounts carried at 81 of these banks at the close of September as against 298,494, a month earlier and 275,032 on the corresponding date of 1928. SA VINGS DEPOSITS Beaumont ...... . .. .. . . . . . . .. . ........ . D.llna . . . . . .. . .... . ..... .. ........... . EIPnao . ...... . . . .. .. . . . . ............ . Fort Worth .... . ....... . . ... ........ . .. G.lveston ..... . .. .... .... . .. . .. .. . ... . Houston .. .. .......... . ........... . . .. . San Antonio .......... .. ........ .. ... . . Shreveport .. . ........ . ....... . .. .. ... . W.oo . ..... . . ... ......... ....... . . . .. . Wiohit. F.IIs ................. . ...... .. Allotbere ............................. . Total .. ........ .. . .. .. Number of Reporti ng B. nks 4" a 2 3 3 13" 7" 4" 4 2 41" 80 September 30, 1020 September 30,1028 Number of Amount of Number of Amount of Depoaitors Deposits Depositors Deposits 5,676 $ 2,560,748 5,430 S 2,530,011 64,306 25,352,176 57,470 23,859,505 15,380 5,814,889 14,362 5,838,125 24,016 8,742, 172 22,530 8,031,043 13,811 8,867,205 13,746 9,565,228 74,031 34,002,794 68,078 32,868,088 32,517 22,832,437 22,920 19,042,009 21,236 11,505,772 22,401 12,220,105 10,023 6,840, 127 '" 0,214 0,208,072 4,215 1,613,342 4,189 1,511,166 30,032 22,080,301 34,584 19,388,388 304,042 $152,027,053 --275,032 Sl41 ,158,730 Inorenae or Deorense + 1.6 + 6.3 -.4 + 8 .9 - 7.3 + 6 .2 +19 .9 - 5 .9 + 8.7 + 0 .8 + 18 .5 + 7 .7 Augu' t 31, 1020 Number of Amount of Depositors Depoaits 5,663 $ 2,502,503 63,809 25,437,371 15,364 5,820,814 23,910 8,802,007 13,028 8,858,142 78,780 34,060,340 28,008 22,501,625 21,144 11,100,003 0,981 6,024,021 4,241 1,585,340 38,572 22,007,703 208,494 $150,805,048 Incrense or Deorense .0 .3 .1 .7 +.2 - .2 + 1.1 + 2. 7 - 1.1 + 1.8 + 4 .0 + .8 "Only 8 banks in Beaumont, 11 banks in Houston, 6 banks in San Antonio, 3 banks in Shreveport and 38 banks in " All otbers" reported tbe number of s.vl.gs depoaitora. ~lllIflllI.II ... IIIIIIIIIIIIIIIIIIItIIIIIIIIII.IIIIIIIIII.III'IIIIIIIIII .. """1"111111111111111111111111111111111111111111111'11111111"11"''''1.1'1111111111111111111111111 Deposits of Member Banks The daily average of net demand and time deposits of member banks in the Eleventh District, which amounted to $892,636,000 in September, reflected a seasonal increase of $32,084,,000 as compared to August. Net demand deposits 'ncreased from a daily average of $629,909,000 in August I to $658,520,000 in September and the daily average of time deposits rose from $230,643,000 to $234,,116,000. On October 10, last year, actual net demand and time deposits of these banks amounted to $946,071,000. DAILY AVERAGE DEPOSITS OF ME MBE R BANKS (In tbou,ands of dollars) Combined Total Reaerve City Banks Country Banks Ndte~~i~nd d;~:rts Ndte~:~nd d;~fts N~e~:~nd de~~~s Jan .• 192L ..... $745.100 Fob .• 1020. . .. . . . 733.901 Maroh. 1020..... 718.006 April. 1020 . . . . . . 603.137 May. 1929...... . 673.007 June. 1920....... 648.038 July. 1020... . .. . 640.034 Aug .• 1029....... 629.909 Sept .• 1929. . . . . . 058,520 $225.788 227.350 230.965 231 .507 280.701 226.110 230.834 280,643 234.116 $220.004 201,970 292.149 287,087 280.284 360,317 270,274 260.010 200.795 $132.008 $440,105 180.680 441,022 132.087 425,917 135,064 405,150 133.018 302,813 120.412 ' 382,721 188.357 360,700 137.174 360,800 136.950 301,725 $ 02.880 96.679 97.078 96,448 07.773 06.608 92.477 08.409 07.166 0.111111 .. 1111111 ............... 11111 ..... 111 ....... 1111111111 ....... 11111111111111.11" ......... 1111111111111 .. 11111111 8 OperatiOJ'l<S of the Federal Reserve Bank Loans to member banks in the Eleventh District, which stood at $47,600,240 on August 31, rose to a seasonal peak at $48,761,167 on September 7, but reflected a rapid decline during the following three weeks and aIDoWlted to $34,112,983 at the close of the month. Borrowings of reserve city banks were considerably less at the end of September than a month earlier and accommodations to banks in rural sections, as a result of the movement of thf cotton crop, likewise, showed a sharp reduction. In many instances banks completely retired their lines with the Federal Reserve Bank, particularly so with those banks located in the Southern and Central parts of Texas. The reduction in loans to member banks during the current month was more pronounced than during the same period of 1928. In. September last year loans to reserve city banks, contrary to the usual seasonal trend, reflected an increase which practically offset the decline in accommodations to country banks. On October 15 total loans amounted to $29,959,355, reflecting a further decline of $4~ 153, 628 as compared to September 30 and was only $1,032,94.0 greater than a year ago. There were 192 borrowing banks on September 30 as against 263 on August 31 and 158 on the corresponding date of 1928. 1I1 ............ U ...... UI ................................... IIIIIIU .. l l l m Due to the decline in loans to member banks, total bills held were reduced from $53,973,24,0.08 on August 31 to $45,443,352.07 on September 30, distributed as follows: Member bnnks' collateral notes secured by U . S. Government oblig ations .............. -........ ..................................... .......... _ ............... $1l.529.750.00 R ediscoun ts and other loans to member banks .......... .... ......... ..... 22.588.2 82.90 Discounts for non m ember banks .. ... ................. _.. 1 4 2. 56 ~ . 6 8 Open m a rke t purchases (Bankers' A cceptnnces ) .............. ....... 11.187.804.49 Tot al bills held.............................................._............. _ ......... _ $45.448.852.07 Federal Reserve notes in actual circulation amounting to $51,656,970 on September 30 reflected a further seasonal expansion of $3,268,570 during the month and were $8,14,7,4,35 above actual circulation on the same date of 1928. The daily average of reserve deposits amounted to $62,780,088 during September as compared to $61,167,552 in August and $65,533,390 in the same month last year. FAILURES A marked improvement was shown in the business mortality rate in the Eleventh Federal Reserve District in Septemb er. Th' d b dness mvo Ive d'm f 81'I ures, amountmg t 0 ' . e mete $315,886, was the smallest of any previous month since July, 1927 and compares with $817,829 in August and $533,137 in the corresponding month last year. The number of defaults in September was 38 as against 50 in the previous month and 41 during the same period of 1928. PETROLEUM With all major regions sustaining losses, except North Texas, total production of crude oil in the Eleventh Federal Reserve District declined from a record output of 28,500,100 barrels in August to 27,299,250 barrels in September. The decline in some areas was due in part to the shorter month while in others it was due partly to a strict adherence to proration rules. As reflected in the number of completions, there was less activity in field work with a consequent decline being shown in initial output of new wells. There were 718 completions during the month of which 368 were oil producers, yielding 173,864 barrels of new production as compared to 998 completions in August of which 558 were oil producers with an initial flow of 241 7,071 barrels of oil. 1:::: """""''''''''''''''''''''''''''''·'''''~;:;·~;~·;:;~:''''''~~~::''·~~::''''l:::: Telna Conatal Grade" A" .... . .... . .. . . .. ....... . ..... . Nortb and Central Tems and North Louisiana (52 gr and above) . . . .. .. .. .. . .. .. .. . .. .. .. .. .. .. . .. .. .. 1. 85 1. 70 ~IIIIIIIIIIIII.IIIIIIII.,IIIIIIIIIIIIIIII'IIIIIIIIIIII 1111111111,1,., ••••••• ".,.,.,111,111,111,11,.,1,.,1.,11,1,.1,.,.10 MONTHL Y BUSINESS REVIEW The daily average flow of Texas fields declined from 882,726 barrels in August to 872,937 barrels in September, Central West and Southwest Texas reporting declines more than sufficient to offset increases shown in the other districts. Despite the restriction of output in Gray county, North Texas registered a further gain in daily average yield. In Central West Texas most of the field work and output of oil were confined to Winkler and Pecos Counties with a spread of development work being reported in the Northern and Eastern sections of the latter county. Although a further reduction was shown in total yield of the Salt Flat field in Southwest Texas, the rate of decline since peak production was reached in June was considerably slower than is usual ' 1 1 in f ault line areas. Deep dri11 mg, particu ar y in the Barbers Hill territory, occupied the attention of operators in 7 the Gulf Coastal area in September. In North Louisiana total production amounted to 1,111,150 barrels which was 24',450 barrels less than in the previous month. ~. ,I.II.I II.I., •••••• ,.1.11.' ••• I.I.I.III"I.IIII.I.' '1'1'11'1"'1'1"""111'1"1"'1"1""""'1'1"'11' •• III.I •••••• G] SEPTEMBER DRILLING RESULTS North TeX88 ........ . ..... . Central West TOX88 .. .... . . . East Tex88 ........ . ...... . Southwest Tex88 .......... . TCX88 C088tal. ............ . Tel88 Wild-Cats ... ..• ..... Total Tex88 . ............. . North Louisiana ... ...... .. . • Complotions 217 206 6 95 95 49 September totals, distriot . . . August totals, distriot. ..... . Pro- ducers 130 III GIlS Wells 15 11 . "47' 18 Initial Failurll8 Produotion 72 31,803 84 90.299 6 '''so' 36 . ii,o:ii! 39 38.710 2.034 54 19 261 16 166,878 6.986 73 90 277 350 173 864 247:071 57 8 2 668 50 353 15 718 998 368 558 2 11.111"'II'III"'I'II""I'III'II'I'I'~ mUU IIIIIIIIIIIIIII IIU''''IIIIIIII IIIIIIIIIIII IIIIIIIIIIIIIIUlillilllllll llllllllll llllllllll111111 1111111111 1111111' t;) .lll lllt •••• ' . I.I IIIIIIIIIIIII •• ,.III.,1I111111111111111111111111.'.,111.'." •••••••• 11111111111111 . 11.1111 .1111 11" "'1'1"11 11111'1 1'1"1111"'11 11"1111111111 1111 11.1111111 •• 111111 •••••• , •• 1111.,11.1111, •••• T.:L=:~::::... ToW A"~.;,,,.=~ T.~·-'· "';.._ 1~;s¥I~L.L : ::: ,:~!~ :!!:~ ,:!~:~ !'~ ~. ,.:!~~ ~. ::~ . .:~ I: North TeX88. .. . . .. .. . . . ...... . •..... . . .. . . ..•..... . ... ......... . Central West Tex88... .. .... . .. ..............•. .... • ... . ..... .. . •. 6,802,500 12.615.150 226.750 420.505 6.704,350 13.611.650 216.269 439086 Ino. Deo. 98.150 996500 Ino. Deo 10.481 18581 North Louisiana .. ...... ......... .. . .. .. . .. .. .... ..... ........ ... . 1.111.150 37.038 1.135.600 36.632 Deo. 24.450 Ino. 400 Total Distriot .. ...... ...... .................. .. .. • 27.299.250 009.975 28.500.100 019.358 Deo. 1.200.850 Deo. .:i 9,383 [!] IIIIIIIIUII IIII IIIII., • • II.,IIIIIIIIIIIIIIIIIUII.,II.IIII1I1I1I1I1I1I1IIII1I1II11111111111111111111111111111111111111111111111111111111111111'"111111111'11111111111"111"1 " 'II I I I I I I I I I I I I I " I I I I I , " ' I " I I I ,II" 'IIIIIIIIIIU'I11111 11 1111111111. ' Oil statistics oompiled by tho Oil Weekly. Houston. Texns. l:::.i. £iJ • tember and in the latter month were 24, points under a year ago. Stocks rose to a high level for the year at 12 points above normal on September 30. Unfilled orders for lumber at 44. mills amounted to 48,222,608 feet at the close of September as against 4.3,217,550 feet recorded at 36 establishments on August 31. LUMBER A decline in the output and shipments and a sharp reduction in new orders for lumber were reflected in the operations of pine mills in the Eleventh District in September. Production during the month was at a rate of 87 per cent of normal as compared to 90 per cent in August and 84. per cent in September last year. Shipments amounted to 80 per cent of normal production which was not only 5 points less than in the previous month, but 16 points below those during the same period of 1928. Orders declined from 91 per cent of normal production in August to 79 per cent in Sep- BUILDING Following a substantial increase in August, the valuation of building permits issued at principal cities in the Eleventh District reflected a 22.9 pel' cent decline in September, but showed a gain of 2.2 per cent over the corresponding month last year. Building permits issued at these centers during September were valued at $6,4,65,678 as compared to $8,384',950 in August and $6,325,734, in September, 1928. It will be observed that although the combined total was greater in valuation during September this year than last, only five centers reported increases; but with only one exception the gain in each case was large. As compared to the same period of 1928, the valuation of permits issued during the nine months of the current year was 2.9 per cent smaller. rn.II I ... UIlIlIlIlIlU .... IIIIII .... UIIlIIlIIIlIIl ...... III ... I ... II ..... UIIl.1I11I111111111111111.11111111111111111110 SEPTEMBER PINE MILL STATISTICS Number of reporting mills. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Produotion ..... . .. . . .. ................... ... . .... ..... • 44 70.894.314 feet ~;t~~~~: ::::::::::::::: :::::::::::: ::::::: ::::: ::::: ~m~:m f~~t Unfilled ordors September 30.. . . . . •. . . .. . . . . .• . . . . .• . . . . . 48.222.608 feet Normal produotion. .. ... .. . . . . . .. . .. .... .. . ... .... ..... 91.721,365 feet Stoeks September 30... . . . . ... ... . ...... .. . .... . . . .. . ... 262.477.888 feot Normal stocks. . . . . . . . . . .. . . . . . . . . . . . .. . . . . .. . . . . .. . . .. 234.861.727 feet Shipments below normal. . . . . ... .. . .. . . .. .. .. .•. ... .... . 18.013.006 feot- 20% Aotual produotion below normal. . . . . . . .• .. . . .. . . . . .•. . . . . 11.827.051 feet- 13% Orders bolow normal produotiou..... ........ . ............ 19.314,014 feet-21 % Stooks above normal. ... . ............... ... .. . . '" ... ... 27.616.161 feot- 12% ~ 1111111 11 11'lltl l tltl ll'II' IIIII'I IIIIIIII'II'1111111 111.111111111.1.,".11111111111'111 111 11111111111.111 •• ,11111111119 (Lumber statistics eompiled by the Soutborn Pine ABSooiation.) BUILDING PERMITS Sept .• 1920 No. Amarillo ......... ...... . Austin .. .. . ........... . . Beaumont ........... .... Corr,us Cbristl. ... ..... .. Dal88 . . ....... ... .. .... EIP88o ............... . . Fort Worth .. . . . ..... . ... Galveston ............... Houston ............. . ... Port Arthur ..... .. ....... San Antonio ............. Shreveport .............. Waco ................... Wiohita Falls ............ I : E Total. .. .... 53 102 167 78 303 III 231 161 530 165 376 232 40 27 2.576 Valuation $ 69.165 220.083 186.140 282.245 768.367 264.977 1.411.397 99.363 1.622.660 213.665 806.040 813.909 110.110 88.548 $ 6.465.678 Sopt .• 1928 No. 72 114 146 89 309 70 321 208 415 124 328 272 27 39 2.534 Valuation $ 124.585 210.820 252.939 224.585 835.144 97.355 922.143 144.899 1.904.054 121.311 847.082 400.505 143,100 91.203 $ 6.325.734 Inorense or Deorease - 44.5 + 4.4 - 26.4 + 25.7 8.0 +172 .2 + 53.1 - 31.4 - 14.8 + 76.1 4.8 - 22.8 - 16 .8 2.0 - - + 2.2 Aug., 1929 No. 67 101 160 83 263 114 242 219 470 173 380 255 40 24 2.581 Valuation $ 154.470 205.404 218.814 00.410 501.33 1 628.529 427.731 1.671.227 2.369.429 490.213 949.650 380.451 103.446 18'1.845 S 8.384.950 IlIor088o or Oeor088e - 55.2 + 7.1 - 15.0 +183 .0 + 53 .3 - 57 .8 +230 .0 - 04.1 - 31.5 - 56.4 - 15.1 - 17.5 + 15.1 - 52.1 - 22.9 Nine Months 1920 No. 441 796 1.580 604 2.628 1.009 2.743 1.660 4.195 1.192 3.240 2335 401 309 23.133 Valuation 1928 No. Incrense or Decr088e Valuation $ 2.651.768 2.582.216 2.216.406 1.837.958 7.057,383 2.715.473 9.327.914 3.432.000 23.928.949 2.333.821 13.802.370 3.007.400 2.048.006 035.227 767 674 1.531 741 2.973 714 3.479 1.782 4.666 1.077 3. 100 2.324 295 465 2.058.916 2.914.939 4.824.153 6.474.693 1.274.046 11.003.480 2.245.464 25.092.103 1.717.152 12.234.454 3.304.832 1.785.347 1.343.521 - 40 .8 + 25.4 - 24.3 - 61.9 + 9.0 +113.0 - 15.2 + 52.8 - 4.0 + 35.9 + 12 .8 - 9.0 + 14 .7 - 30 .4 576.636.601 24.588 S78.925.858 - $ 1.411.388 2.9 I : E t,"""""" "" """""""""" """"""",,,,,,,,,,"'"""""""""""" """"""""" """""'""""" """"""" """"""""""""""""'""', •• ,•••• ,., •• ,••• ,.,.,"""""""""""""""""""""",,,.l 8 MONTHLY BUSINESS REVIEW CEMENT Production of cement in September at Portland cement same period of 1928, by 156,000 barrels. As a result of mills in Texas was maintained at the same level as in Aug- the spread between production and shipments, stocks on ust, but shipments showed a decline. The output of 707,000 hand at the close of the month increased 5.8 per cent over barrels in September, which was the same as in the previous month, reflected an increase of 30.0 per cent as compared those on August 31 and were 75.4, per cent larger than a with Seplember last year. While shipments declined from year ago. During the nine months of the current year, pro786,000 barrels in August to 680,000 barrels in September, duction increased 12.9 per cent and shipments rose 9.5 per in the latter month they exceeded shipments during the cent, compared to the same period of the previous year. 1!l11.1.1111 •• IIIII.III.I •••••• I.II.I.I ••• I ••• I.".I.I"1"1"'1111111111.,11 '11 •• 1111 ••• 11.1111111111111111 ••••• 111 .... 111.111.111 •• ' •• 1111111 •• 11 •••••• '1,.'.'1 ••• 1, ••• 111 •••• 11 •••••••• 11111111""""111111111111111111'1'11111111111111111111'1IIIr'tll[!l : :: ~_: : :: : ~ ~ PRODUCTION, SHIPMENTS, AND STOCKS OF PORTLAND CEMENT-(Bnrrels) g September 1029 Produotion atTcxas mills. ............. .. . . .. . ..... .. .. .. . ... .. ...... . . 707,000 SbipmentsntT. xasmills .. .. " " " ...... .. ...... " .... " .... " .. .... ". 680,000 StoekBat.ndoCmontbntT.xBsmllls" """ " """ "" " " """"" " 493,000 September 1928 544,000 524,000 281,000 Inorease or Deorease +30 .0 +20.8 +75 .4 August 1920 707,000 786,000 466,000 Inoreaso or Decrease None - 13 .5 + 5.8 : Nine Months 1920 1928 5,338,000 4,727,000 5,368,000 4,904,000 Inoreas. or Deorease +12 .9 + 0.5 : ~_: :: : ~ g [!J ... UIIII ..... UIlII .. 'IIIIIUU .. 'IIIIIIIIIIIIIIIIIIII .. ItIlIIIlIlIIIIIIIl.'".1111111111.111111111.11'111111111111,11111111111111.11111111111111111111111111111111 •• 11 ••• ,111 ........ 11 ............... 1111.11 ... 11111 ...... ,1 ••• 1111111' .... '11", ••• ,.0 SUMMARY OF NATIONAL BUSINESS CONDITIONS (Compiled by the Federal Reserve Board as of October 24, 1029) Industrial activity increased less in September than is usual at this season. Production during the month continued above the level of a year ago, and for the third quarter of the year it was at a rate approximately 10 per cent above 1928. There was a further decline in building contracts awarded. Bank loans increased between the middle of September and the middle of October, reflecting chiefly growth in loans on securities. PRODUCTION Output of iron and steel declined further in September, contrary to the seasonal tendency. There was a sharp decrease in output of automobiles and automobile tires, and a smaller than seasonal increase in activity in the textile and shoe industries, which continued to produce at a high rate in comparison with the preceding year. Meat packing plants were more active than in August. Factories increased the number of their employees during September and payrolls were also slightly larger. Output of coal showed a substantial increase from August and the average daily production of copper mines was somewhat larger. Iron ore shipments declined seasonally, and petroleum output was reduced for the first time in several months. For the first half of October, reports indicate a further reduction in steel plant operations, a continued increase in production of bituminous coal and some increase in petroleum output foll owing a moderate decrease during September. Building contracts awarded in September declined seasonally from August and were substantially below the corresponding months in any year since 1924. For the third quarter the volume of contracts was six per cent less than a year ago. During the first three weeks of October, contracts conlinued substantially below the level of last year. October estimates by the Department of Agriculture indicate a cotton crop of 14,,915,000 bales, 3 per cent larger than last year; a corn crop of 2,528,000,000 bushels, 11 per cent smaller than the crop of a year ago, and 8 per cent below the five-year average; and a total wheat crop of 792,000,000 bushels, 12 per cent below last year but only slightly under the five year average. DISTRIBUTION Freight car loading increased by slightly less than the usual seasonal amount in September, and continued to be larger than, a year ago. In the first two weeks of October car loadings were smaller than in the corresponding weeks of 1928. Department store sales in leading cities increased seasonally during the month of September and were 2 per cent larger than a year ago. For the third quarter, as a whole, sales of the reporting stores exceeded those of the third quarter of last year by 3 per cent. PRICES Wholesale prices showed little change from August to September, according to the Index of the Bureau of Labor Statistics. Prices of meats and livestock declined considerably, while prices of grains advanced. The prices of raw silk, cotton, and cotton goods were higher in September, and the prices of coal increased, while prices of iron and steel products, tin, gasoline, and cement were lower. During the first three weeks of October prices declined for a considerable number of commodities, including wheat, flour, hides, steel, tin, cotton, silk, and wool. BANK CREDIT Between the middle of September and the middle of October there was a slight increase in the volume of loans and investments of member banks in leading cities. The banks' loans on securities increased rapidly while all other loans, including loans for commercial and agricultural purposes, declined somewhat after reaching a seasonal peak on October 2. Security holdings of the reporting banks continued the decline which has been almost uninterrupted for more than a year. At the Reserve banks there was little change in the volume of credit outstanding during the fourweek period ending October 19. Further increase in the holdings of acceptances by the Federal reserve banks was accompanied by a decline in discounts for member banks, largely at the Federal Reserve Bank of New York. Open market rates on bankers' acceptances and on prime commercial paper were unchanged during the last half of September and the first three weeks of October. On October 23 rates on bankers' acceptances declined by one·eighth per cent to a 5 per cent level for the principal maturities. Rates on demand and time loans on securities declined during the first half of October.
@FedFRASER